Jiangsu Guomao Reducer Co (SHSE:603915) ROA %: 4.06% (As of Mar. 2026) — 52% Below Median

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SHSE:603915 Jiangsu Guomao Reducer Co Ltd SHSE:603915
89 GF Score
Price ¥13.58
GF Value ¥16.39
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Jiangsu Guomao Reducer Co ROA %?

Jiangsu Guomao Reducer Co SHSE:603915 +0.07% 89 ROA % is 4.06% as of Mar. 2026, which is 52% below its 10-year median of 8.52. GuruFocus rates SHSE:603915 with a GF Score™ of 89/100 and a GF Value™ of ¥16.39 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 3,074 Industrial Products companies, Jiangsu Guomao Reducer Co ranks better than 61.74% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Jiangsu Guomao Reducer Co's annualized Net Income for the quarter that ended in Mar. 2026 was ¥220 Mil. Jiangsu Guomao Reducer Co's average Total Assets over the quarter that ended in Mar. 2026 was ¥5,416 Mil. Therefore, Jiangsu Guomao Reducer Co's annualized ROA % for the quarter that ended in Mar. 2026 was 4.06%.

The historical rank and industry rank for Jiangsu Guomao Reducer Co's ROA % or its related term are showing as below:

SHSE:603915' s ROA % Range Over the Past 10 Years
Min: 4.37   Med: 8.52   Max: 10.87
Current: 4.64

During the past 12 years, Jiangsu Guomao Reducer Co's highest ROA % was 10.87%. The lowest was 4.37%. And the median was 8.52%.

SHSE:603915's ROA % is ranked better than
61.74% of 3074 companies
in the Industrial Products industry
Industry Median: 3.045 vs SHSE:603915: 4.64

Jiangsu Guomao Reducer Co  (SHSE:603915) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Mar. 2026 )
=Net Income/Total Assets
=220.072/5416.4325
=(Net Income / Revenue)*(Revenue / Total Assets)
=(220.072 / 2629.344)*(2629.344 / 5416.4325)
=Net Margin %*Asset Turnover
=8.37 %*0.4854
=4.06 %

Note: The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


Jiangsu Guomao Reducer Co ROA % Related Terms


Jiangsu Guomao Reducer Co ROA % Historical Data

* Premium members only.

The historical data trend for Jiangsu Guomao Reducer Co's ROA % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Jiangsu Guomao Reducer Co ROA % Chart

Jiangsu Guomao Reducer Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.60 8.85 8.19 5.67 4.37

Jiangsu Guomao Reducer Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.26 4.89 5.95 3.69 4.06

SHSE:603915 vs GEV, ETN, PH: ROA % Comparison

For the Specialty Industrial Machinery subindustry, Jiangsu Guomao Reducer Co's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Jiangsu Guomao Reducer Co ROA % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Jiangsu Guomao Reducer Co's ROA % distribution charts can be found below:

* The bar in red indicates where Jiangsu Guomao Reducer Co's ROA % falls into.


SHSE:603915
89GF Score
Jiangsu Guomao Reducer Co Ltd SHSE:603915
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
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Jiangsu Guomao Reducer Co ROA % Calculation

Jiangsu Guomao Reducer Co's annualized ROA % for the fiscal year that ended in Dec. 2025 is calculated as:

ROA %=Net Income (A: Dec. 2025 )/( (Total Assets (A: Dec. 2024 )+Total Assets (A: Dec. 2025 ))/ count )
=235.033/( (5347.624+5410.879)/ 2 )
=235.033/5379.2515
=4.37 %

Jiangsu Guomao Reducer Co's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Dec. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=220.072/( (5410.879+5421.986)/ 2 )
=220.072/5416.4325
=4.06 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Mar. 2026) net income data. ROA % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 4.06% mean?
Jiangsu Guomao Reducer Co (SHSE:603915) has a ROA % of 4.06% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Jiangsu Guomao Reducer Co and its competitors. This is 52% below median its historical median of 8.52. Over the past decade, Jiangsu Guomao Reducer Co's ROA % has ranged from 4.37 to 10.87. According to the industry distribution chart, Jiangsu Guomao Reducer Co ranks #1176 out of 3074 companies in the Industrial Products industry, placing it in the top 38.3%.
Is Jiangsu Guomao Reducer Co's ROA % too high?
Jiangsu Guomao Reducer Co's current ROA % of 4.06% is 52% below median its 10-year median of 8.52. Over the past 10 years, this metric has ranged from a low of 4.37 to a high of 10.87. The Industrial Products industry median ROA % is 3.05. Jiangsu Guomao Reducer Co's value of 4.06% is 33.3% above this industry median. Based on the distribution chart, Jiangsu Guomao Reducer Co ranks #1176 out of 3074 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Jiangsu Guomao Reducer Co has a GF Score™ of 89/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Jiangsu Guomao Reducer Co's ROA % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Jiangsu Guomao Reducer Co ranks #1176 out of 3074 companies for ROA %. This puts Jiangsu Guomao Reducer Co in the upper half of its industry. The industry median ROA % is 3.05. Jiangsu Guomao Reducer Co's value of 4.06% is 33.3% above this benchmark. Historically, Jiangsu Guomao Reducer Co's own ROA % has ranged from 4.37 to 10.87 over the past decade. While the company's 10-year median is 8.52 vs. the industry median of 3.05, Jiangsu Guomao Reducer Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for an Industrial Products company?
The median ROA % among Industrial Products companies is 3.05, based on 3,074 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Jiangsu Guomao Reducer Co's current ROA % of 4.06% is 33.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Jiangsu Guomao Reducer Co and its competitors. For the Industrial Products industry, the median ROA % is 3.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Jiangsu Guomao Reducer Co's current ROA % is 4.06%, which is 52% below median its own 10-year median of 8.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Jiangsu Guomao Reducer Co stock overvalued right now?
Based on GuruFocus' analysis, Jiangsu Guomao Reducer Co (SHSE:603915) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥16.39, compared to a current price of ¥13.58 — trading 17.1% below its estimated fair value. The current ROA % is 4.06%, which is 52% below median its 10-year median of 8.52 and 33.3% above the Industrial Products industry median of 3.05. Jiangsu Guomao Reducer Co's overall GF Score™ is 89/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Jiangsu Guomao Reducer Co (SHSE:603915), the current ROA % is 4.06% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Jiangsu Guomao Reducer Co (SHSE:603915) Overvalued in 2026?

Based on GuruFocus' analysis, Jiangsu Guomao Reducer Co stock appears to be undervalued. The current stock price of ¥13.58 is trading 17.1% below its estimated GF Value™ of ¥16.39. GuruFocus considers Jiangsu Guomao Reducer Co to be Modestly Undervalued.

Key valuation signals for SHSE:603915:

  • ROA %: 4.06% (52% below median its 10-year median of 8.52)
  • GF Value™: ¥16.39 vs. price of ¥13.58 (17.1% below fair value)
  • GF Score™: 89/100 with 4 warning signs
  • Industry Position: 33.3% above the Industrial Products median (#1176 of 3074)

No single metric tells the full story. See the SHSE:603915 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Jiangsu Guomao Reducer Co Business Description

Address No.98 Longqian Road, Wujin High-Tech Zone, Jiangsu, Changzhou, CHN
Jiangsu Guomao Reducer Co Ltd is primarily involved in the research and development, manufacturing an sale of reducers and motors. It offers products such as Geared motor, Cycloidal reducer, Industrial gearbox, Planetary gearbox, plastic and rubber special reducer and other products.
89GF Score

Get the complete analysis for SHSE:603915

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

¥13.58
Price
¥16.39
GF Value